Part 1)
Accumulation factor = 1+(i × 9.5/12)
= 1+ (.085 × 9.5/12)
= 1 + .0672917
= 1.0672917
Thus the correct answer is 1.0672917
Accumulated factor = amount × accumulated factor
= 5000 × 1.0672917
= $ 5336.46
Thus accumulated amount = $ 5336.46
Part 2)
Principle amount = interest/ (12.5%×182÷365)
= 134.28 / .0623288
= $ 2154.38
Thus the correct answer is principle amount = $ 2154.38
Q.1. Calculate the accumulation factor and find the accumulated value of $5,000 invested at 8.5% p.a. for 9.5 month...
please show all work will thumbs up!
4. Find the accumulated value of $4,000 invested for 16 months at 6.75%. a. $4270 b. $4457 c. $4180 d. $4360 5. What is the amount to which $15,500 will grow in 10 months at 4.65 % p.a.? CO 67 b. $17,560.67 a. $28,985.45 b. $17,560.67 c. $16,099.85 d. $16,560.25 44 VODOU.23 6. Calculate the accumulation factor of an investment with an interest rate of 5.50% invested for 120 days a. 1.0181 b....
Q.3. What is the interest on $4,000 invested for 2 years and 2 months at 10.5%? Q.4. Find the annual rate of interest required for $1,350 to earn $35.10 in 146 days. Q.5. How many days are needed for $1,500 to earn $69.04 at 10%% p.a.? Q.6. Find the principle that will accumulate to $2,627.08 in 3 years and 7 months at the rate of 82%
2. Find the accumulated value on maturity of the following investments: (a) $5,700 invested for 5 months at 18% simple interest. (b) $9,110 invested for seven years at a nominal interest rate of 5% compounded daily.
23. What is the future value at the end of year 28 of depositing $5,000 today, $3,500 at the end of years 1, 2 and 3, $5,000 at the end of years 4, 5, 6 and 7 and $4,250 at the end of years 8, 9, 10, 11 and 12 into an account that pays 9.5% p.a.? (No deposits will be made into the account after year 12). 24. If you wanted to fund a scholarship that would pay $12,500...
Suppose we want to find the future value of $6,000 invested at 8.5% compounded continuously for 7 years. ir mt A. Periodic Compound Interest: S = P(1+ – m / B. Continuously Compounded Interest: S = Pe” [(1 + 5)mt – 1] C. Future Value of an Ordinary Annuity: S = R || 11- D. Present Value of an Ordinary Annuity: P = R Il + 1. Choose the correct formula above for this scenario. - 2. What is the...
Calculate the value of x. Interest Amount Principal / Present Value Interest Rate (per year) Time $2009 7.34% 12 months х Answer: Calculate the value of x. Maturity / Future Value Principal / Present Value Interest Rate (per year) Time $3308 10.13% 121 days Answer: Five months ago, Sarah borrowed $1100 from Joe. When she borrowed the money, they agreed she would pay 5% p.a. in simple interest. Sarah pays Joe back today. What is the principal amount? Select one:...
Calculate the accumulated amount of end-of-month payments of $5,000 made at 3.21% compounded quarterly for 4 years. Round to the nearest cent How much should Austin have in a savings account that is earning 4.50% compounded quarterly, if he plans to withdraw $2,400 from this account at the end of every quarter for 9 years? Round to the nearest cent Zachary deposits $350 at the end of every quarter for 4 years and 6 months in a retirement fund at...
What is the future value at the end of year 28 of depositing $5,000 today, $3,500 at the end of years 1, 2 and 3, $5,000 at the end of years 4, 5, 6 and 7 and $4,250 at the end of years 8, 9, 10, 11 and 12 into an account that pays 9.5% p.a.? (No deposits will be made into the account after year 12).
1) You receive $5,000 at the end of every year for three years. What is the present value of these receipts if you earn eight percent compounded annually 2)What amount will be accumulated in four years if $10,000 is invested today at six percent interest compounded annually?
Using Excel to calculate the following: 1. The future value of $3 invested every day, 360 days per year, for 50 years at 8% interest. Hint: Interest is compounding daily. 2. The future value of $1,080 ($3 x 360) invested annually for 50 years at 8% interest. 3. The payment for a mortgage with a principal amount of $150,000, an interest rate of 5%, fully amortized over 30 years. 4. The price today of 15 year bond that has a...